If MMT works, it works and it works for the very rich. This is real meaning of the King Last Supper beautiful bill he presented to his own vassals and the whole world. The Rich got a free lunch, no tax, debt bonds a gogo to speculate and the serfs got tariffs and some got tipps tax free with the offset of rising costs as things attached.. Plus, if Trump succeeds to oust FED Powell, and get zero interest on debt, the mega last supper bill will be the biggest free last supper for the US Oligarchy. On this topic somewhere down in the text…
Lets do the deal; lets talk about buy and sell, offer and demand. For fun. The King and its deep space T Atlantic Trilateral bond debt humanitarian NGO world west council in this last bends of debt driven economy collapse found out that the debt , or if you prefer the US bond issuing was not such a good idea at the end. They , the bonds, were getting too many, bought by Strangers, with no real cover in productive capacity or even the size of the US Empire was too big to maintain the speed of “printing dollars “ with interest in order to keep the Empire. So, the King found out that the rest of the world was “exploiting” the Kingdom as sort of reverse New Speak Orwell style.. In order to fix this exploitation he sold the tale that the vassals- Strangers around the world, were exploiting his Empire and he put tariffs to end the exploitation. The Appalachia majority of his local serfs and believers believed it. So, they did not notice that the tariffs will be paid by them! Even the beautiful bill of the last supper which de- taxed the last supper tipps for the evangelical waiters waitering and serving at the table of his Oligarchy , which was a brilliant idea of peanuts for the masses which the so called democrats were too shy to invent themselves. But as any peanuts given by the King the MMT effect is that the serfs will have to pay more for their insurances as there is no free lunch for them and so the US Talmud is safe and they will get nothing which is something..
So, tariffs will be paid by locals and this will be a sort of tax which will end into the Budget vault without issuing debt bonds and so saving some money on the interest of the servicing of the US debt. But even this is peanuts.
On the other hand, the Strangers are in a shithole. They have to lower wages or skim the profits to bare or default and Strangers will go in recession while the US blows a zero interest debt bubble of the mega bubble growth.
The inflation provoked by the tariffs, but this is a one off moment,may be eating and fixing the debt – GDP ratio lower but this for the Empire is bad news and not a success story, the road to deflating the Empire is not such a good idea.. SO, who is going to buy dollars? Only the ones- Strangers- who sell there their stuff. But to buy debt- US bonds with this dollars as before , is a long story. Dollar is devaluating and even the 3,5% weighted average of interest on bond is nothing as dollar has already lost 13% and this means a few years of bonds interest went in smoke, cds swaps are in jeopardy, repo is shaking, even Witchdoctor lost over 20% of a part of portfolio and you are quiet maybe because you have nothing but you believe in the debt driven economy or maybe because you are just a jerk believer and the uncertainty principle is getting high.
Now, the mainstream says dollar was bound to appreciate, but WD wrote in this blog, that is not the case. If one does not needs dollars, sells less in the US, the dollar is not sold and in the meantime the US debt is rising., which means or higher interest to lure investors or::::: The Debt free issuance of money directly to treasury!!!!
If there is the King which needs to make dollars – bonds- and the offer is too big as the Empire is too big, then, with less demand the shrinking into a shithole is in the cards.
Ellen Brown in her last post is telling it and the Witchdoctor blog was from THE FIRST DAY TELLING you that you are fucked up in this model of debt driven economy!!! Only debt free money can save the debt driven economy and this do not includes zero interest bearing debt bonds, as will be sort of explained somewhere down in the text.
The DEBT will eat you alive to the last ounce.
Now, we all, and especially the progressives, the so called left, KNOW this is never to happen- the Debt free issuance- because they are all sycophants of the debt masters! No debt free money. SO. Lets go slipping into the debt driven economy collapse. Less demand for the dollar as the result of less exports, less demand for bonds. More deficit for the US KING. Austerity measures already starting with the bill of the last supper.
EXCEPT, for the only thing the KING knew and has done: The tax free support for; the encryption, data collection, Artificial Intelligence, surveillance and the Military complex exports, some rare stuff and patents for anything, even the rocks are privately patented..All corporations working in this areas which are the last and vital products of the Empire have to be shielded and that is the last supper bill: MMT for the rich and for the survival of the empire. Everything will be encrypted, but not yours, you have nothing to hide, arent you. Your data will be theirs and Palantir will keep you safe from yourself. The Bombs are your free lunch and there is nowhere to hide. AI will think instead of you, since you forgot how it is done.
The rest is, fuck off.
So, trillions of free lunches for the Tech messiahs except for the green stuff, betting on fossil and nuclear in opposition to China, Plus trillions of tariffs to try to offset this MMT for the rich, for the accounting sake of makebeleive.
Because this people of the King Empire, by some reasons got scared, lately. They thought that deficit is too big and that printing dollars in exchange for the real stuff brought in by the Strangers,the so called goods, this system is getting astray.
So with this on the table, who will buy dollars? Only the ones who need to and the Strangers- exporters- will try to wriggle and wiggle away, anywhere safe.. And this is not covering the US need to make debt bonds.
There is another Trump card of the King- selling arms to cover at least some “fractional” banking accounting approach of the constant deficit debt rise. Racketeering, blackmailing around the “friends” to buy, more and more, so the dollars- debt bonds (the same thing) can find a buyer.
Also the idea of bonds with no interest behind the close the FED propaganda is not viable since, who will buy this stuff? It can work in a normal State but not in the Empire. Why one wants to buy bonds with no interest and get eaten by inflation or instability which even chaos the Empire produces in order to survive can not guarantee as a stable investment?? The answer is: the US will do it! They will buy this bonds for themselves.
BUT the Last SUPPER HAS A CAVEAT:
37 Trillion of debt is huge. BUT on the other hand, there is almost full employment in a sense of current standards what that means as a code- law to build on this more or less a strange notion of what is full employment. But it is the world legal accounting gimmick and the economy is based on this.
BUT, on the other hand, the current inflation is nothing special to worry.
SO, IN FACT, the US EMPIRE could have done the current business as usual without any problem, debt growth included, for a nice number of years over some medium term.
Anyway, the Appalachians are satisfied overall, only Witchdoctor has this strange idea that if living in America one needs minimum 180.000 US dollars per year for nothing more than some decent living.
BUT on the table of the last supper was missing the home made stuff and the supper got dependent on too much foreign catering.
SO, the Deep State of what is left of America in this way overturned the table. In advance. It is their mindset and their cowboy macho attitude to blow up what Europeans would never think of doing. The Inner playground- the US was losing. The stuff left was the finance and the Big Tech, AI, Military, Research etc specifics .
It has to be FIRE-WALLED. Hence the prohibition to the strangers to regulate or tax it.
Tariffs are a one off rise in inflation, after it should go to normal. But, Trump KNOWS that this kick of rising prices could turn away his fans and peasants to go revolting. Having in mind his own DYNASTY, this is threatening.
SO IN ORDER TO MAKE THE PLAN complete, he needs that the FED goes to zero or almost zero interest on bonds. In this way the Appalachia peasant which do not have this 180.0000 Dollars a year but only peanuts, can fight the rising prices by more and more, as they are used to, more household debt!! Forget the wages or better food and education, buy more, but only on credit. THE CHEAP CREDIT, very low interest. So, the REAL GOAL is to FLOOD the Inner circle – the US- with cheap money! The peasants will be fine, but what about the Oligarchy? IT WILL BE THE BIGGEST DEBT DRIVEN ZERO INTEREST LAST SUPPER BILL IN HISTORY!! the debt and the finance sector will explode in the new coming biggest bubble of all. Make Bubbles great again!
It will be a new Bonanza, forget the Cartwright family TV series jerks.
The Strangers are left out from this story, except if they on purpose start buying dollars to enter the last supper casino big Ponzi scheme on US soil.
This exploding debt is meant to be held mostly in the US hands and this means the US is safe.
ON the other hand there is a sort of Italian pre Euro outcome of this – the competitive devaluation with rising zero interest debt or even with inflation but the money will be circling in such speed that these times will be the roaring THIRTIES of the 21 st century! Italians were much happier people in the 80ies than after when they adopted the euro.
The whole idea is that there are Groups of people or corporations which are flooded in money so they have to stick this too much money somewhere even if this place is called dollar. If this is true, than the King is safe including the dollar based crypto or pure dollar money laundering flooding to the US. As for the Ponzi scheme of rising stock prices, even this scheme has limits in some P/E., but it can be circumnavigated easily.
Zero interest bonds only prima facie resemble debt free money. The zero interest bond are the biggest free lunch for the Ruling Oligarchy and some small peanuts fall into the plates of the peasants. By at the same time dismantling the State reason- welfare- health- education – the peasants became serfs on life support of the growing personal debt even with low interest. On the other hand, the Oligarchy is flying to the moon with their private jets. The famous wealth inequality and wealth concentration is even easier and much bigger with the zero interest bonds!
THE BAD LAST SUPPER BILL
So, if the budget primary surplus is not stopping the debt growth, if the inflation is bigger than interest on bonds, if you do not grow more than interest on debt to keep barely floating while debt is growing, in THIS System neither the austerity- cutting wages and income and welfare as the KING is doing, if the private debt is growing at the same time and if you have ALL this Symptoms of the Last Supper MMT Fever, you are fuscked up in some medium term!!!! If this happens to the EMPIRE, it is its last supper. The way out, encryption, data collection, surveillance, Military, all this Oligarchy Complex of nothing except warmongering, fear and deprivation of basic rights, is only a way how to scare, mostly, the locals in order to keep the mob silent while the Empire regrouping.
But, on the other hand, if this new model of digital bollocks, digi money, digi wars is a new US Empire no tax monopoly west and worldwide, then the Empire will spread this model worldwide. And we will be even poorer.
The debt free issuance will never come, as the mob, the silent majority under the Gauss Bell curve of idiocy will never understand it. Because the Bible and the Holy books say so when read by the prosperity gospel fans and you forgot your Paternoster and its meaning.
But it was all in the cards and incredible but true, Witchdoctor, over 9 years ago in this blog, failed to see it coming so soon, He missed by a year or two!
In fact lets talk about the EU left or progressive forces. They, paid as they go on the Oligarchy whim basis, will never advocate the way out of the debt driven economy to the debt free economy. They, genetically, as the integer troglodyte DNA embedded, do not even know what it is and how it should be done!
But, by the way, if the State stops issuing debt driven bonds with interest and instead uses the debt free financing, there would never be: tariffs , and there would be a in the place a very small financial sector exclusively serving as a casino relocation of sums of the gamblers involved. AND the last and most important thing: the famous disegualty, the 1 Percentes and the rising inequality will be more than Halved!!
YES, The State can never default, but the Empire sure can. But not defaulting means that it can become a shithole in order to survive. The bond with interest issuance – the debt driven economy- has to be covered by productive capacity of any kind which makes the money circulate. Big tech does not need all this peasants since they are already more stupid than the AI. Bonds with zero interest is a good intermediary solution to the new expansion.
OK even the debt free money system needs to be covered by overall productive capacity of any kind, singing and tiptap included. But it is at least 40% less costly overall as the debt with interest cost is cut off!
If not, Zmbave is the US future because the debt is not covered by anything or not enough covered and the zero interest bonds siphon money upwards even faster.. Anyway, inside the US the Zumbabve pure white way of life is already a fact, but it not televised yet. To have Zombabve- or Zumbabve of pure white – as the World leader with the BOMB, is a very bright future especially in the King hands.
But do not worry, the planet is overheating and Waterworld is our salvation, Wichdoctor is a keen swimmer, regardless of the prosperity gospel, which is unbeatable.!!!